Sellas Traders See Pancreatic Cancer Race After RVMD’s Drug Approval — But Near-Term Focus Remains On SLS’s Leukemia Pipeline

• SELLAS Life Sciences’ SLS009 slowed pancreatic-cancer cells that shrug off leading RAS blockers in preclinical studies.
• While RASONQUE is already approved by the FDA, SLS009 is yet to enter human trials. 
• Sellas remains focused on its acute myeloid pipeline in the near-term.

Shares of Sellas Life Sciences (SLS) drew retail attention on Wednesday after the U.S. Food and Drug Administration (FDA) approved Revolution Medicines’ (RVMD) Rasonque for advanced pancreatic cancer, an indication Sellas is considering for its experimental drug SLS009.

The FDA approved RASONQUE, a once-daily pill for adults with metastatic pancreatic cancer who have already tried chemotherapy or cannot take multi-drug regimens. In the pivotal trial, patients on the pill lived a median 13.2 months versus 6.7 months on standard chemo — a 60% cut in the risk of death.

SLS009 In Pancreatic Cancer

SELLAS Life Sciences’ SLS009 is yet to enter clinical trials for pancreatic cancer. However, the drug slowed pancreatic cancer cells that shrug off leading RAS blockers in preclinical studies, and it appeared useful when paired with those blockers. RAS proteins act like a growth switch in most pancreatic tumors, and RAS blockers control the disease by blocking them. SELLAS says it is preparing a clinical program for the indication.

RASONQUE goes after the RAS switch that drives most pancreatic tumors. SELLAS has said SLS009 worked alone in RAS-resistant pancreatic cells and “synergize[d] with the RAS inhibition mechanism.”

However, while RASONQUE is already approved by the FDA, SLS009 is yet to enter human trials.

RVMD, SLS Stock Optimism This Year

Both RVMD and SLS have clocked phenomenal gains this year. While RVMD gained over 170% year-to-date in response to positive data from RASONQUE’s trial and optimism for its approval, SLS stock added 264% as investors await data from the company’s programs in acute myeloid leukemia. However, on Wednesday, SLS closed down 3% while RVMD gained 2%.

SLS traders are now awaiting data from the late-stage, event-driven REGAL trial, in which the company is studying its galinpepimut-S (GPS) in AML patients in second complete remission. The company has said it will begin the study data analysis after recording the 80th death in the trial population. As of May, 78 of the 80 required events were completed. The company is also slated to announce data from its mid-stage trial of SLS009 in patients with newly diagnosed AML in the fourth quarter of this year.

Retail Traders Chime In

On Stocktwits, retail sentiment around SLS stock remained ‘bullish’ over the past 24 hours, while retail chatter was ‘high.’

Meanwhile, sentiment around RVMD rose from ‘neutral’ to ‘bullish’ over the past 24 hours, while message volume went from ‘normal’ to ‘high’ levels.

A Stocktwits user opined that SLS stock would rally on GPS trial data as RVMD did in April with the announcement of data from RASONQUE’s late-stage study.

Another user opined that SLS is “coming for” RVMD’s pancreatic cancer market.

A third user urged SLS shareholders to be patient, highlighting RVMD’s rally following the data announcement and subsequent FDA approval.

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